LG Innotek said Wednesday it has logged the highest-ever first-quarter revenue, defying typical seasonal downturns thanks to robust sales of high-end camera modules, a rebound in demand for substrates used in semiconductors and displays, and favorable exchange rate conditions.
The electronic component manufacturer posted 4.98 trillion won ($3.5 billion) in revenue for the January-March period, marking a 15 percent on-year increase. The figure exceeded the 4.45 trillion won consensus by local analysts provided by market intelligence firm FnGuide.
Operating profit, however, fell 28.9 percent from a year earlier to 125.1 billion won. It still surpassed market expectations, which had projected profit at around 104.5 billion won.
The firm attributed the drop in profitability to sluggish growth in downstream industries such as electric vehicles and intensified competition in the optical solutions segment.
“We are accelerating the growth of our advanced component businesses, including FC-BGA and automotive application processor modules for AI and semiconductors, as well as key mobility solutions such as sensors, communications and lighting,” said Chief Financial Officer Park Ji-hwan.
Park added that the company is further enhancing its business portfolio through strengthened partnerships with leading robotics firms.
“We will continue to bolster cost competitiveness through global production realignment and AI transformation, while actively proposing next-generation technologies to clients and reinforcing our edge in key technologies to improve profitability,” he said.
yeeun@heraldcorp.com
